Top reasons for Walworth lease extension

Main reasons to start your Walworth lease extension today:

Increase your lease and increase your Walworth property value

Unfortunately that a Walworth residential lease is a wasting asset. The lease value drops in proportion to its lease length. The extent of this is taken for granted in the early years due to the deflation being disguised by increases in the Walworth property market.Once your lease nears 85ish years, you should start considering a lease extension. An important point to note is that it is desirable for lease extension to take place before the term of the existing lease falls lower than eighty years - otherwise a higher premium will be payable. Most flat owners in Walworth will be able to extend under the legislation; however a conveyancing solicitor should be able to clarify whether you are eligibility. In some cases you may not qualify. There are also strict deadlines and procedures to follow once the process has commenced and you will need to be guided by your lawyer from beginning to end of the process.

Walworth property with a lease extension is almost the same value as a freehold

Leasehold properties in Walworth with over 100 years unexpired on the lease are often regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your property. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.

Banks and Building Societies may not grant a mortgage with a short lease

Most mortgage lenders have constrained their lending criteria in recent years and borrowers are encountering difficulties in arranging funding or re-mortgage against property with shorter lease terms, particularly below seventy years as they are deemed to be inadequate for lending purposes.

Get in touch with one of our Walworth lease extension solicitors or enfranchisement solicitors

Engaging our service gives you enhanced control over the value of your Walworth leasehold, as your property will be more valuable and marketable in relation to the lease length should you wish to sell. The conveyancers that we work with are well versed in the legislation handling many hundreds of lease extensions or freehold purchase transactions.

Walworth Lease Extension Case Studies:

Kayleigh, Walworth, South East London,

Trailing unsuccessful negotiations with the landlord of her ground floor apartment in Walworth, Kayleigh commenced the lease extension process as the eighty year threshold was quickly advancing. The legal work completed in May 2005. The landlord’s costs were kept to an absolute minimum.

Walworth case:

In 2014 we were contacted by Mr and Mrs. C Morgan who, having bought a garden apartment in Walworth in January 2005. The dilemma was if we could shed any light on how much (approximately) premium would be for a 90 year extension to my lease. Similar residencies in Walworth with a long lease were worth £191,000. The mid-range ground rent payable was £65 billed per annum. The lease ran out on 17 September 2084. Taking into account 58 years as a residual term we estimated the premium to the landlord to extend the lease to be between £23,800 and £27,400 plus legals.